Albert D. Friedberg and Gold Investment Strategies

GoldMinerPulse Blog, October, 2009


Albert D. Friedberg's Gold Investment Strategies

Date: October 21, 2009

Albert D. Friedberg's Gold Investments

From a Seabridge Gold news release, Seabridge Gold Reports Insider Share Sales Tuesday, 26th June 2007:

Toronto (Canada) — SeabridgeGold announced today it has been informed by Friedberg Mercantile Group Ltd. ("FMGL") that two investments funds managed by FMGL have sold 162,000 common shares of Seabridge in order to meet their investment guidelines.

The investment funds were required to sell because a rising share price had taken the value of their investment in shares of Seabridge above the limits set for investments in securities of any one issuer. These investment funds continue to own an aggregate of 286,800 common shares of Seabridge. Because the investment funds are managed by FMGL, their shares of Seabridge are reported as part of the position controlled by Albert D. Friedberg. Pan Atlantic Bank and Trust Limited owns 6,291,152 common shares, FCMI Financial Corporation (the shareholder of Pan Atlantic) owns 50,000 shares of Seabridge and Albert D. Friedberg owns personally 43,400 common shares of Seabridge. Albert D. Friedberg, together with members of his immediate family, are controlling shareholders of Pan Atlantic and hold a 50% ownership interest in FMGL. Mr. Friedberg is also FMGL's investment strategist.

"The sale of shares by these funds in no way affects the Seabridge position held by Pan Atlantic or myself. Pan Atlantic has steadily increased its interest in Seabridge over the years and may, subject to market conditions, acquire additional shares for investment purposes," said Mr. Friedberg.

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On October 16, 2009, Paramount Gold and Silver released FCMI Financial Corporation Acquires Shares of Paramount Gold and Silver Corp.:

TORONTO, ONTARIO--(Marketwire - 10/16/09) - FCMI Financial Corporation ("FCMI Financial") has acquired 4,000,000 common shares of Paramount Gold and Silver Corp. (TSX:PZG - News)(AMEX:PZG - News)(Frankfurt:P6G - News) from treasury at a price of US$1.25 per common share in a public offering.

FCMI Financial owns 16,000,000 common shares representing 15.78% of the total outstanding Common Shares.

FCMI Financial has purchased such common shares for investment purposes and intends, subject to market conditions, to make additional acquisitions or dispositions in securities of Paramount Gold and Silver Corp. in the future.

An earlier press release Paramount Gold and Silver Corp. Executes Agreements with Major Stockholders in Support of Klondex Transaction noted:

FCMI Financial Corp. (“FCMI”), a corporation controlled by Albert D. Friedberg and Paramount’s largest stockholder, has committed its 12,000,000 shares of common stock and its 12,000,000 warrants to purchase shares of common stock (exercisable commencing September 20, 2009) in support of the proposed transaction. FCMI has further indicated its financial support of a minimum of C$5,000,000 to a maximum of C$15,000,000 to fund future development programs at both the San Miguel and Fire Creek projects.

At the close on October 19, GoldMinerPulse estimated Paramount Gold and Silver had a fully diluted share count of 120.1M shares. Assuming the Albert D. Friedberg's FCMI still holds its 12M warrants, Albert D. Friedberg's indirect control of Paramount Gold and Silver is estimated at 23.3%.

These very significant positions beg the question as to what is the thinking behind Albert D. Friedberg's investments? And there anything an average small investor might learn?

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